The Economic Daily News reported on the 13th that Saudi Arabia was hit by attacks from Yemen's Houthi militants for two consecutive days over the weekend, resulting in civilian casualties. Markets are concerned about escalating tensions in the Middle East. Coupled with Ukraine's accusation that Russia violated the energy ceasefire, the Russia-Ukraine war continues, pushing oil prices higher again. Brent crude futures once rose to $107, returning to a one-month high. U.S. markets are focusing on upcoming bank earnings reports and CPI and other economic data. U.S. stocks traded mixed on Monday, with tech stocks weak; the Dow rose 195 points to 51,850, the Nasdaq fell 120 points to 27,245, the S&P dropped 4 points to 7,807, and the Philadelphia Semiconductor Index declined 2.7%.
*Chinese ADRs, ADRs weak*
Chinese ADRs weakened; Alibaba fell 0.53% to $110.78, Pinduoduo dropped 0.53% to $80.92, JD.com declined 1.37% to $26.72, Baidu fell 1.21% to $84.30, Li Auto dropped 1.21% to $11.40, NIO declined 3.07% to $3.47, XPeng fell 2.42% to $9.66, Beike dropped 0.90% to $17.68, Trip.com fell 0.36% to $38.76, and GDS Holdings declined 1.87% to $30.39.
ADRs showed mixed performance compared to Hong Kong closing prices; Tencent (00700) ADR was 0.37% lower than its Hong Kong price, equivalent to HK$424.2; Xiaomi (01810) ADR was 0.47% lower, equivalent to HK$24.4; Meituan (03690) ADR was 0.22% higher, equivalent to HK$72.0; AIA (01299) ADR was 0.41% lower, equivalent to HK$71.6; HSBC (00005) ADR was 0.05% lower, equivalent to HK$148.0; HKEX (00388) ADR was 0.17% lower, equivalent to HK$374.8.
*HSI slight rebound sees new bull positions added, expect bears to strike back*
Ongoing Houthi attacks on civilian airport facilities have sharply increased Middle East uncertainties, pushing oil prices higher and weakening U.S. stocks, dragging down global market sentiment. Asian markets generally weakened, with Japan's market resuming trading and falling 1.8%, and South Korea's market further dropping 4.8%. The Hong Kong market is expected to weaken, with the 'dark futures' HS50 index, reflecting expectations for Hong Kong's performance, currently at 24,145, down 77 points, 126 points below the current Hang Seng Index spot level, suggesting the HSI may open over 100 points lower.
Yesterday, the Hong Kong market first rose then retreated, holding above 24,200. Warrants providers added approximately 300 points of new Hang Seng Index bull positions yesterday. Referring to the distribution of outstanding bull and bear warrants, this new 300-point zone added a net total of 659 corresponding futures contracts, likely attracting bearish traders to push lower today. The HSI is expected to find support near the 24,000 psychological level during the session. (hc)
*Chinese ADRs, ADRs weak*
Chinese ADRs weakened; Alibaba fell 0.53% to $110.78, Pinduoduo dropped 0.53% to $80.92, JD.com declined 1.37% to $26.72, Baidu fell 1.21% to $84.30, Li Auto dropped 1.21% to $11.40, NIO declined 3.07% to $3.47, XPeng fell 2.42% to $9.66, Beike dropped 0.90% to $17.68, Trip.com fell 0.36% to $38.76, and GDS Holdings declined 1.87% to $30.39.
ADRs showed mixed performance compared to Hong Kong closing prices; Tencent (00700) ADR was 0.37% lower than its Hong Kong price, equivalent to HK$424.2; Xiaomi (01810) ADR was 0.47% lower, equivalent to HK$24.4; Meituan (03690) ADR was 0.22% higher, equivalent to HK$72.0; AIA (01299) ADR was 0.41% lower, equivalent to HK$71.6; HSBC (00005) ADR was 0.05% lower, equivalent to HK$148.0; HKEX (00388) ADR was 0.17% lower, equivalent to HK$374.8.
*HSI slight rebound sees new bull positions added, expect bears to strike back*
Ongoing Houthi attacks on civilian airport facilities have sharply increased Middle East uncertainties, pushing oil prices higher and weakening U.S. stocks, dragging down global market sentiment. Asian markets generally weakened, with Japan's market resuming trading and falling 1.8%, and South Korea's market further dropping 4.8%. The Hong Kong market is expected to weaken, with the 'dark futures' HS50 index, reflecting expectations for Hong Kong's performance, currently at 24,145, down 77 points, 126 points below the current Hang Seng Index spot level, suggesting the HSI may open over 100 points lower.
Yesterday, the Hong Kong market first rose then retreated, holding above 24,200. Warrants providers added approximately 300 points of new Hang Seng Index bull positions yesterday. Referring to the distribution of outstanding bull and bear warrants, this new 300-point zone added a net total of 659 corresponding futures contracts, likely attracting bearish traders to push lower today. The HSI is expected to find support near the 24,000 psychological level during the session. (hc)
